LiteLite 2.0 by Splaysoft

LiteLite is fun for kids and adults alike. LiteLite allows you to “draw” with illuminated blocks on your screen. Select a color from the palette and then place the square blocks on the board. LiteLite blocks illuminate as you insert them. Create a pattern, draw a picture or write a message in cheerful colors. When you’re finished, you can save and share your drawings with friends.

You can also import images from your camera roll into LiteLite converting them to a cool blocky look.